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NNN Leasehold Investments - Time To Revisit?

With the shortage of desirable NNN investment property in densely populated urban areas as well as the continued cap rate compression for property, now maybe the time to consider investing in a NNN leasehold interest.

By Jonathan Hipp | Updated on January 17, 2013

With the shortage of desirable NNN investment property in densely populated urban areas as well as the continued cap rate compression for property, now maybe the time to consider investing in a NNN leasehold interest. Unlike the traditional net lease investment, the leasehold interest investor never takes title to the underlying land. The leasehold investor purchases the right to use the property during the remaining term of the leasehold subject to a tenant lease. At the end of the lease term, control of the real estate reverts back to the ground lessor, or owner of the land.

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